Setting Up a Fund
When to create a fund:
Create a fund now with as little as $1000, establish a fund in your will, or create it through a trust arrangement that benefits your family as well as the charity.
Ways to give to the Foundation:
Cash, public stock, closely-held stock, bonds, real estate, retirement plan assets, life insurance or other assets are the most common ways to establish a fund.
Deferred gifts, also called planned gifts, are also welcome. Usually such gifts are part of one's estate planning process. There are many knowledgeable area professional advisors who can help explain these common gift vehicles to you:
- Bequests, or a codicil, through your will
- Life insurance cash value
- Life insurance death benefit
- Annuities
- Charitable remainder trusts
- Charitable lead trusts
Types of Funds:
The Community Foundation offers any types of funds for your consideration:
- Donor Advised Funds
- Donor Designated Funds
- Unrestricted Named Funds
- Field of Interest Funds
- Artesian Funds
- Administrative Endowment Funds
- Project Funds
- Organization Endowment Funds
Benefits of Giving:
- Combining the giving power of the entire Foundation enhances community impact.
- Professionally managing funds together ensures greater safety, cost efficiency, diversity and greater earnings.
- Local Board of Directors ensures knowledgeable allocation of gifts.
- Gifts given during a donor’s lifetime are deductible to the maximum extent allowable under current law: gifts of cash are deductible up to an amount equal to 50% of the donor’s adjusted gross income. Gifts in excess of that 50% may be carried over for five years following the year of the gift.
- Gifts of appreciated property (stocks, bonds, real estate, etc.) are deductible at the fully appreciated value up to 30% of adjusted gross income, with the aforementioned five year carry-over provision. Taxation of capital gains is avoided.
Getting Started
- Step One: Statement of Intent Form
- Step Two: Fund Agreement Form
Corporate, Private Foundation, Other Giving Options
For corporations and businesses, the WCCF could provide simplicity for your charitable giving. If a company foundation exists, charitable assets can be transferred to the Community Foundation. Administrative and reporting requirements are handled by the Community Foundation, along with investment management.
Private foundations transfer also assets to a community foundation. Donors sometimes also may no longer want to handle the administrative duties of a private foundation. However, the donor's charitable intentions are preserved.
Charitable organizations can transfer their investment assets or endowment funds to the Community Foundation, which would serve as the umbrella organization for the charity. Benefits include freedom from setting up a separate foundation, tax reporting, federal and state regulatory registration, annual auditing, and investment management. Other Community Foundation donors would be invited to add to the fund.